Fair and Open Competition in Public Procurement

Fair and open competition in government procurement around the world is good business and good public policy. Competitive pricing, product innovation and performance improvements result from competitive practices and help ensure that government authorities get the best value for the public they serve. Furthermore, transparent and unbiased procurement practices are essential components for open government and a healthy economy.

Government procurement regulations in many countries including the U.S., member states in the European Union, Japan and countries in Latin America, prohibit government agencies from issuing vendor specific procurement solicitations, that call out specific brand or product names.

When government agencies issue vendor solicitations that prevent competition, they are unable to compare product costs and performance. At best, government agencies risk making purchases without knowing that they are buying the best product for their needs at the best price. At worst, they risk using taxpayer dollars to buy inferior products at inflated prices.

AMD is committed to working with governments around the world to combat unfair and often times illegal practices in order to improve competition, promote product innovation, and save taxpayers money.

Download English Benchmark Procurement Guidelines for Government PC Buyers* document

Download French Benchmark Procurement Guidelines for Government PC Buyers* document

Download German Benchmark Procurement Guidelines for Government PC Buyers* document

Download Italian Benchmark Procurement Guidelines for Government PC Buyers* document

Download Polish Benchmark Procurement Guidelines for Government PC Buyers* document

Download Portuguese Benchmark Procurement Guidelines for Government PC Buyers* document

Download Russian Benchmark Procurement Guidelines for Government PC Buyers* document

Download Spanish Benchmark Procurement Guidelines for Government PC Buyers* document

• NY Attorney General Cuomo Launches Antitrust Investigation of Intel – January 10, 2008
  
  
• AMD Applauds Hong Kong SAR’s Initiative to Encourage Fair and Open Competition in Government IT Procurement  – October 24, 2006
  
  
• United States Office of Management and Budget Issues Federal Acquisitions Regulation (FAR) Memo*  - April 17, 2006
  
  
• AMD Applauds Initiative Designed to Ensure Fair Competition in Chinese Government IT Procurement  – March 6, 2006
  
  
• AMD Supports United Kingdom Move to Strengthen Competition in Technology Procurement* - August 16, 2005
  
  
• United States Office of Management and Budget issues Procurement Guideline Memo* - April 11, 2005
  
  
• Japanese Ministry of Internal Affairs and Communications issues Public Procurement Memo (English Translation)* - March, 2005



• Japanese Ministry of Internal Affairs and Communications issues Public Procurement Memo (Japanese language)* - March, 2005

• France* - Bans Intel only IT Contracts - May 2004 - Publishes new instruction on the drafting of technical specifications for the procurement of computers March 2005
  
  
• Italy* - Endorses Sysmark 2004 for Desktop PC's - October 2004, and Publishes Notebook and Server Guidelines - January 2005
  
  
• Germany Bans Intel only IT Tenders - December 2004
  
  
• Belgium* - Improves procurement guidelines indicating the use of trademarks in technical specifications for computers is illegal - June 2004
  
  
• Sweden* - Publishes Guidelines and Endorses Sysmark 2004 - March 2004
  
  

• AMD Applauds OMB Efforts To Limit Brand Name Specifications And Maximize Competition In Federal Procurement - April 2006
  
  - Rule Change will Increase Transparency and Save Taxpayers Money -
  - Brand Name Justification Requirements Expanded to Include Simplified Acquisitions and Sole Source Procurements -
  
  SUNNYVALE, Calif. -- April 24, 2006 --Advanced Micro Devices (NYSE: AMD) commended an Office of Management and Budget (OMB) memorandum announcing new federal procurement regulations designed to discourage the use of brand name specifications in government contracts that would benefit a particular brand or manufacturer.



• AMD Supports Latest Steps Taken By Governments Around The World To Stimulate Competition In Technology Procurement - May 2005
  
  - Japan, France and United States Join Growing List of Nations Calling for Neutral Specifications and Elimination of Brand Names in Contracts -
  
  SUNNYVALE, CA -- May 2, 2005 --AMD strongly supports recent actions by the Japanese, French and U.S. governments to stimulate competition in government technology procurement by curbing preferential practices that advantage specific companies. These efforts shed light on the continued specification of brand names in public tenders, an ongoing problem that reduces market competition and inhibits innovation while needlessly costing taxpayers money.



• AMD Supports Office Of Management and Budget Memorandum Enforcing Neutral Specification Guidelines in Government Procurement - April 2005
  
  - OMB Memo Sends Strong Message to Government Agencies: Eliminate the Use of Brand Name Specifications in Contracts -
  
  SUNNYVALE, CA -- April 14, 2005 --AMD (NYSE: AMD) released the following statement today regarding the Office of Management and Budget’s (OMB) memorandum reinforcing the need for all chief acquisition officers, chief information officers and senior procurement officers in the government to maintain neutral contract specifications and asking them to comply with the Federal Acquisition Regulation (FAR) requirements on brand name specifications:



• AMD Targets Government Market Through Strategic Relationship With GTSI - April 2005
  
  Decision to work together is response to growing demand For AMD64 technology by government customers
  
  FOSE, Washington, D.C. – April 5, 2005 – AMD (NYSE:AMD) today announced a strategic relationship with GTSI Corp. (NASDAQ:GTSI), a tier one government technology solutions provider. Announced at the FOSE Conference and Exposition, held April 5-7 in Washington, D.C., the relationship is designed to provide GTSI’s government customers with increased access to industry-leading AMD64 technology and support services.



• AMD Welcomes Germany's Moves Toward More Competitive IT Procurement in Public Sector - December 2004


Action builds on steps taken by several EU member states to enhance competition and cost savings

"The German Federal Government published on the website of the Federal Ministry of Economy and Labor a specific guidance for procurement authorities. The document states that "German and European procurement law prohibit(s) the mentioning of brand names in description of required performance." The document goes on to say that the "mentioning of a specific brand name (e.g. supply of a computer with a processor of the brand xy) is always illegal." It also warns of requiring minimum clock rates in the performance description, as frequency is "only one criterion out of several which altogether determine the performance of a microprocessor."


• European Commission Examines Discriminatory Specifications in Public Procurement Supply Contracts for Computers in Four Member States - October 2004
  
  The Commission has decided to send letters of formal notice to France, Finland, the Netherlands and Sweden on the grounds that there is reason to believe that authorities in those countries describe the technical characteristics of the computers they wish to acquire in a discriminatory fashion. Three variants have been identified in the invitations to tender in question: requirements to supply “Intel” microprocessors, “Intel or equivalent” microprocessors, or microprocessors using a specific clock rate. Under European law on public procurement, a brand may be specified only if it is otherwise impossible to describe the product sufficiently precisely and intelligibly. There are, however, ways of describing microprocessors and particularly the performance required. For example, there are various “benchmarks” for this purpose. Merely specifying a clock rate is not sufficient for assessing the performance of a computer.
  

What the Media is Saying

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